The world's biggest cryptocurrency rallied from $66,000 to $68,660 in the space of about 40 minutes.
Bitcoin surged on Wednesday after U.S. inflation jumped to the highest level seen in 31 years — hitting a new all-time high.
The world's biggest cryptocurrency rallied from $66,000 to $68,660 in the space of about 40 minutes.
This helped BTC surpass the record price of $68,520.34 that had been set on Tuesday.
Data shows prices for U.S. consumers rose by 6.2% in October compared with the same period a year earlier.
With the cost of groceries, gas and housing dramatically increasing, America is now dealing with its highest inflation rate since 1990.
To make matters worse, this figure was markedly worse than the 5.8% hike that some analysts had forecast.
Bitcoin has been regarded by some as a hedge against inflation because of how it has a fixed supply of 21 million coins.
Current levels of inflation are currently way more than what the Federal Reserve is comfortable with, but this could persist into next year.
On Monday, 70% of market participants said that inflation was now their biggest concern too — overtaking the impact of the coronavirus pandemic.
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What's Next?
It remains to be seen whether Bitcoin will hold on to the gains it has accrued since the dire inflation data came out.
But it's clear that bullish momentum is here to stay in the crypto markets.
Bitcoiners might need patience to surpass a "sell wall" at $70,000.
A number of analysts are convinced that BTC still has the potential to hit six figures in the coming weeks.
